TORONTO — Sandals Resorts International is said to be eyeing several business strategies including the possible sale of a majority stake in the company, privately owned since 1981 when it was founded by Sandals Resorts Chairman Gordon ‘Butch’ Stewart.
According to Reuters, Sandals has hired Deutsche Bank AG to explore various options. The company’s estimated worth is more than US$1 billion including debt.
Sandals Resorts International issued a statement to the Jamaica Gleaner saying “Sandals Resorts International is exploring options to accelerate the company’s long-term growth and development plans. This is not new. Meanwhile it’s business as usual.”
The resort industry has seen some high-level shakeups recently. In December 2016 Playa Hotels & Resorts B.V. announced plans to go public. Playa’s move to go public was seen as a catalyst to accelerate Playa’s growth strategy by providing million of dollars of additional capital and access to the public markets to strengthen its balance sheet, pursue acquisitions, and enhance distribution. Reports indicated that Playa intends to launch a new hotel brand as part of its growth plan.
Also in December 2016 AMResorts’ parent company Apple Leisure Group reached a deal to be bought by financial firms KKR & Co. and KSL Capital Partners LLC.